diff --git a/MANIFEST.in b/MANIFEST.in
index a82ada5..4aef3a7 100755
--- a/MANIFEST.in
+++ b/MANIFEST.in
@@ -1,4 +1,4 @@
-include pylast/*.py
+include src/pylast/*.py
 include setup.py
 include README.md
 include COPYING
diff --git a/RELEASING.md b/RELEASING.md
index e615ace..a89d169 100644
--- a/RELEASING.md
+++ b/RELEASING.md
@@ -1,13 +1,14 @@
 # Release Checklist
+
 * [ ] Get master to the appropriate code release state. [Travis CI](https://travis-ci.org/pylast/pylast) should be running cleanly for all merges to master.
 * [ ] Remove `.dev0` suffix from the version and update version and date in the changelog:
 ```bash
 git checkout master
-edit CHANGELOG.md pylast/version.py
+edit CHANGELOG.md src/pylast/version.py
 ```
 * [ ] Commit and tag with the version number:
 ```bash
-git add CHANGELOG.md pylast/version.py
+git add CHANGELOG.md src/pylast/version.py
 git commit -m "Release 3.0.0"
 git tag -a 3.0.0 -m "Release 3.0.0"
 ```
@@ -29,11 +30,11 @@ git push --tags
 * [ ] Increment version and append `.dev0`, and add Unreleased to the changelog:
 ```bash
 git checkout master
-edit CHANGELOG.md pylast/version.py
+edit CHANGELOG.md src/pylast/version.py
 ```
 * [ ] Commit and push:
 ```bash
-git add CHANGELOG.md pylast/version.py
+git add CHANGELOG.md src/pylast/version.py
 git commit -m "Start new release cycle"
 git push
 ```
diff --git a/setup.py b/setup.py
index f7c494f..c718213 100755
--- a/setup.py
+++ b/setup.py
@@ -4,7 +4,7 @@ import sys
 from setuptools import find_packages, setup
 
 version_dict = {}
-with open("pylast/version.py") as f:
+with open("src/pylast/version.py") as f:
     exec(f.read(), version_dict)
     version = version_dict["__version__"]
 
@@ -72,7 +72,8 @@ setup(
         "Programming Language :: Python :: Implementation :: PyPy",
     ],
     keywords=["Last.fm", "music", "scrobble", "scrobbling"],
-    packages=find_packages(exclude=("tests*",)),
+    packages=find_packages(where="src"),
+    package_dir={"": "src"},
     license="Apache2",
 )
 
diff --git a/pylast/__init__.py b/src/pylast/__init__.py
similarity index 100%
rename from pylast/__init__.py
rename to src/pylast/__init__.py
diff --git a/pylast/version.py b/src/pylast/version.py
similarity index 100%
rename from pylast/version.py
rename to src/pylast/version.py